LAHORE – The United Nation’s Food and Agriculture Organisation (FAO) has forecast that the world rice trade in 2011 will contract by two percent to 30.5 million tonnes. The FAO latest Rice Market Monitor (RMM) states that the reduction in global rice trade is expected to follow a tightening of exportable quantities in major rice supplying countries.
It concludes that several rice exporting countries had reduced harvests owing to harsh weather conditions, while some have heavily drawn of rice reserves to meet 2010 contracts. The report also indicates that on the back of production gains over the season, various important rice importers are also anticipated to have to rely less on international purchases to meet domestic requirements during 2011.
Rice market outlook says that the anticipated contraction in world rice trade in 2011 is forecast to be driven by lower imports on the part of Asian countries, projected, as a group, to take delivery of some 14.3 million tonnes of rice over the year, three percent less than in 2010. Reflecting greater availability of supplies from larger 2010 crops, several traditional importers are forecast to cut purchases, the RMM adds.
Citing the example of Philippines, the world’s top rice buyer in 2010, the report highlights that Philippines has estimated it will import 1.85 million tonnes of rice in 2011, 600,000 tonnes less than the 2010 record of 2.45 million tonnes. Amongst other major buyers, the outlook indicates, Bangladesh is also likely to slash shipments from the current 2010 estimate of 750,000 tonnes to 400,000 tonnes.
A record 2010 crop in Sri Lanka is also anticipated to facilitate a near 80 percent cut in imports to 15,000 tonnes. Casting an eye on rice exports from Pakistan, the report asserts that the contraction in global rice trade in 2011 is principally anticipated to reflect a sharp cutback in deliveries by Pakistan, the world’s fourth largest supplier of rice, which is now forecast to ship 1.8 million tonnes, 44 percent less than current estimate for 2010.
Much of this 1.4 million tonne reduction is expected to concern non-basmati rice, as crop damages registered as a result of devastating floods were particularly concentrated around southern Punjab and Sindh, important producing areas of IRRI-6 rice varieties.
Instead, with key premium rice growing areas less severely affected, Pakistan is anticipated to maintain its high-value basmati rice exports to an expected tune of 1.0 million tonnes, it concludes.
